LOSS TO BRITISH SHIPPING

Southland Times, Issue 23692, 15 December 1938, Page 5

LOSS TO BRITISH SHIPPING

FOREIGN SUBSIDIES IN PACIFIC PEER ÜBGES GOVERNMENT ACTION (United Press Assn.—Telegraph Copyright) (Received December 14, 8.50 p.m.) LONDON, December 14. Lord Lloyd, drawing attention to the shipping situation in the House of Lords, complained of the Government’s inaction in spite of the importance of the Merchant Nayy to national defence. Britain, he said, was being driven from the Far East trade by subsidized Japanese competition. One British line had already ceased to operate on the Empire route in the Pacific, and another must go soon, because of subsidized American competition if nothing were done. American competition in the Pacific was a terrible story, said Lord Lloyd. The Lord President of the Council (Viscount Runciman) said the Government had taken energetic steps to deal with shipping interests in the Mediterranean and elsewhere and would shortly have to face a difficult situation in the Far East.

The case of the Matson Line (American) showed how difficult it was to extend rapidly schemes for keeping alive British shipping on difficult routes, said Lord Runciman. It was impossible, he said, to work a scheme with the support of one government alone.

Referring to the general situation, Lord Runciman said that if the ship owners and ship builders made out a successful case they would find .the Government ready to respond. Sir Auckland Geddes, presiding at the annual meeting of the Orient Line, said the European situation had badly affected the flow of passengers. The company’s ships had failed to earn depreciation during the past eight years. He paid a tribute to the National Travel Association, which was encouraging traffic. The tourist spendings of Australia were estimated at £1,700,000 greater than the ,wine or timber exports.